AZ SB1132

Prohibits municipalities from issuing green bonds to finance or refinance green projects.

Defines a "green bond" as any bond instrument where proceeds are exclusively applied to finance or refinance new or existing green projects.

Defines a "green project" as a project contributing to environmental objectives including climate change mitigation, climate change adaptation, carbon neutrality, and carbon mitigation measures.

Excludes pollution prevention and control from the definition of green projects.